There are a couple of things worth noting here. Firstly, the accident was covered as the walk was deemed to constitute commuting. This suggests that events that happen outside of an employer's premise and in an environment they cannot control being covered is not particularly new or uncommon. Further, it was the employer’s insurance that refused to pay out - the employer did not directly suffer any loss (though presumably the insurance company could set requirements for the employer as a condition of the insurance contract).